-The table above gives the demand for a monopolist's output. Between which two quantities is marginal revenue equal to 0?
A) 4 and 5
B) 1 and 2
C) 2 and 3
D) 3 and 4

Question

-The table above gives the demand for a monopolist's output. Between which two quantities is marginal revenue equal to 0?
A) 4 and 5 
B) 1 and 2 
C) 2 and 3 
D) 3 and 4

Quizplus · Accepted Answer

Marginal revenue is zero when total revenue is maximized. This typically occurs between the quantity levels where total revenue stops increasing and starts decreasing.

-The Table Above Gives the Demand for a Monopolist's Output